New Delhi, June 17 -- At a time when global crop yields face uncertainty due to rising fertiliser prices amid the ongoing West Asia conflict, the likelihood of El Nino persisting through 2027 has increased, posing risks to inflation even in highly rated sovereign economies, according to Fitch Ratings.

"The formation of an El Nino weather phenomenon that is set to persist into early 2027 raises the risk of economic disruption in a range of sovereigns," it said.

El Nino is a phenomenon that brings unusually dry conditions in some regions and heavier-than-normal rainfall in others.

As per Fitch Ratings, environmental conditions hampering the agricultural or economic activity could weaken the credit profiles of lower-rated sovereigns, spec...